User avatar
Tass
Posts: 535
Joined: Sat Jan 21, 2012 11:15 am

Re: Farnell prices

Thu Mar 22, 2012 10:41 am

I was starting to look at what I need for when my Pi arrives and thought I'd look at the Farnell website to see if it's worth combining several other items with my initial order to save on postage.  I was truly shocked by what I found.  I realise Farnell don't normally sell to the public, and aren't really a cut-price online retailer, but the SD cards on sale are three or four times the price I can generally fine anywhere else.

32GB

http://uk.farnell.com/sandisk/.....dp/1782316

http://www.argos.co.uk/static/.....014960.htm

http://www.amazon.co.uk/Sandis.....B001DEUWDC

16GB

http://uk.farnell.com/sandisk/.....dp/1782315

http://www.argos.co.uk/static/.....014896.htm

http://www.amazon.co.uk/Sandis.....B0014VY28A

I realise the Foundation has partnered with these two distributors and we need to try avoid publicly slating them here, but at some point I feel you need to draw the line.  I'm happy enough to simply shop elsewhere, but how many unsuspecting people will simply click on the "Raspberry Pi accessories" link and add these to their order?

User avatar
meltwater
Posts: 1014
Joined: Tue Oct 18, 2011 11:38 am

Re: Farnell prices

Thu Mar 22, 2012 10:51 am

That is up to them, if they sell them at that price then fair enough, it is their shop.

Walk into a supermarket and you'll probably find similar prices.  The answer is, if you are buying online, search around, you don't even have to walk from shop to shop.

If you are too lazy to do that, then pay more, you have a choice.
______________
http://www.themagpi.com/
A Magazine for Raspberry Pi Users
Read Online or Download for Free.

My new book: goo.gl/dmVtsc

Meltwater's Pi Hardware - pihardware.com

Like the MagPi? @TheMagP1 @TheMagPiTeam

Ravenous
Posts: 1956
Joined: Fri Feb 24, 2012 1:01 pm
Location: UK

Re: Farnell prices

Thu Mar 22, 2012 11:03 am

The thing is places like Farnell sell to large business customers, and I guess (all of this is guesswork, I have no inside knowledge) that they offer long account terms where they are unlikely to be paid for months.  Their typical customers may not even have the cashflow to pay up front for a cheaper product, or may have other reasons for dealing with a particular supplier.

User avatar
Tass
Posts: 535
Joined: Sat Jan 21, 2012 11:15 am

Re: Farnell prices

Thu Mar 22, 2012 11:11 am

meltwater said:

If you are too lazy to do that, then pay more, you have a choice.

You are of course right, and I certainly won't be buying from them.  My only concern is that there are a lot of new inexperienced people buying this product that might be duped into buying this.  I suppose it'll teach them a rather harsh lesson at least - hopefully it won't leave a taste of burnt Pi in their mouth...

But hey - lets hope the Foundation will have the shop up and running shortly where they'll be selling reasonably priced cards

jamesh
Raspberry Pi Engineer & Forum Moderator
Raspberry Pi Engineer & Forum Moderator
Posts: 23682
Joined: Sat Jul 30, 2011 7:41 pm

Re: Farnell prices

Thu Mar 22, 2012 11:33 am

Do Tesco's dupe people in to buying SD cards at a similar price? This isn't duping. It's pricing. You can go in to any number of shops and find similar prices to the ones Farnell are quoting.
Principal Software Engineer at Raspberry Pi (Trading) Ltd.
Contrary to popular belief, humorous signatures are allowed. Here's an example...
"My grief counseller just died, luckily, he was so good, I didn't care."

JoeDaStudd
Posts: 274
Joined: Fri Jan 27, 2012 1:34 pm

Re: Farnell prices

Thu Mar 22, 2012 11:37 am

Its business pricing.

You expect to pay more for a better service, pay in x days and faster dispatch/delivery.

Smartybones
Posts: 176
Joined: Wed Feb 08, 2012 5:03 pm

Re: Farnell prices

Thu Mar 22, 2012 11:43 am

all i can say is ....

OH NO, NOT THIS AGAIN !!

User avatar
scep
Posts: 1062
Joined: Sun Nov 20, 2011 8:53 am

Re: Farnell prices

Thu Mar 22, 2012 11:49 am

Tass said:

I realise the Foundation has partnered with these two distributors and we need to try avoid publicly slating them here...

I have  edited the thread title for this reason.

User avatar
rurwin
Forum Moderator
Forum Moderator
Posts: 4258
Joined: Mon Jan 09, 2012 3:16 pm
Contact: Website

Re: Farnell prices

Thu Mar 22, 2012 12:00 pm


the SD cards on sale are three or four times the price I can generally fine anywhere else.


That's nothing.

Way back in the days of the Acorn Atom and such machines, the standard RAM chip was the 4114. It had a capacity of 256 x 4-bits and was generally available mail-order for £0.80.

But if you walked into Tandy (AKA Radio Shack), you could find it in a bubble pack for £11.95

User avatar
Tass
Posts: 535
Joined: Sat Jan 21, 2012 11:15 am

Re: Farnell prices

Thu Mar 22, 2012 12:02 pm

scep said:


Tass said:


I realise the Foundation has partnered with these two distributors and we need to try avoid publicly slating them here...



I have  edited the thread title for this reason.



Fair enough.  Maybe I was a little loose & fast with that phrase.

Shopping around, even the most expensive prices I can find are still a good 20% less than the Farnell prices.  I do think that a 400% hike (compared to the cheapest I found) is somewhat extreme though, especially if they directly link these products to the Raspberry Pi bundle that they put on offer.

My concern isn't really that Farnell can justify these prices, as people have made some valid points like business prices, better service, delivery, etc.  You have the "on account" factor, the availablity, etc., which all does add to the price (again, not 400%, but let's put that one to bed for now).

I'm more concerned that something like this is tied in and advertised as "Raspberry Pi" accessories.

Maybe I need to worry a little less about all the other RPi newbies out there and look after myself

User avatar
meltwater
Posts: 1014
Joined: Tue Oct 18, 2011 11:38 am

Re: Farnell prices

Thu Mar 22, 2012 12:08 pm

No it is a fair point, but there is only so far you can go.  If someone wants to spend £120 on an SD card for a £30 computer...then I guess they will, there is plenty of info on the wiki which tells people about the SD cards.

One thing I would be worried about though, is... have they tested those cards actually work with the RPi?
______________
http://www.themagpi.com/
A Magazine for Raspberry Pi Users
Read Online or Download for Free.

My new book: goo.gl/dmVtsc

Meltwater's Pi Hardware - pihardware.com

Like the MagPi? @TheMagP1 @TheMagPiTeam

User avatar
croston
Posts: 703
Joined: Sat Nov 26, 2011 12:33 pm
Location: Blackpool
Contact: Website

Re: Farnell prices

Thu Mar 22, 2012 12:12 pm

Rule 1 of marketing:
The value (cost) of something is whatever your target customers are prepared to pay.

SvenP
Posts: 8
Joined: Sat Feb 11, 2012 8:48 pm

Re: Farnell prices

Thu Mar 22, 2012 12:30 pm

It should be obvious to anybody with two brain cells to rub together that the sole reason for these two companies taking on the distribution of the low margin RasPi is that they foresee the generation of large volumes of sales of paired high margin items.

It's the classical Polaroid marketing strategy all over again.

One can but wonder what motivated the Foundation's decision maker(s) to make such a deal.

Phil Spiegel
Posts: 210
Joined: Tue Jan 17, 2012 8:17 am
Contact: Website

Re: Farnell prices

Thu Mar 22, 2012 12:46 pm


One can but wonder what motivated the Foundation's decision maker(s) to make such a deal.


The choice of Farnell and Rs is the logical choice for distributing to UK Educational establishments  – the PRIME PURPOSE of the RPi board to meet the aims of the RPi Foundation.

Almost without exception Schools will have accounts with 1 or both companies; and are therefore able to order the product, and have it paid for from the annual budgets.

Whilst there may be 'apparent' short-term savings with spending valuable time searching for 'the cheapest supplier' on each occasion a new item is required, it may not prove to be the most cost effective in the long run – especially when the administration overheads of each of those transactions are taken into account, as expenses incurred are reclaimed.

Then there is the warranty and support issue: it DOES cost money to provide it. (Microsoft suppliers have made an industry/fortune from it due to the level of support needed to keep PCs operating)

Whilst an inidividual is free to spend their money as they wish, and find singular bargains; a school needs to find a recognised, reliable source with whom they can guarantee supply over a long period.

As regular account customers – possibly back to Local Authority level, they may even be getting bulk discounts, as well as skipping individual delivery charges.

And however it is packaged; there is no such thing as free delivery … its got to be built in to the cost somewhere.

User avatar
rurwin
Forum Moderator
Forum Moderator
Posts: 4258
Joined: Mon Jan 09, 2012 3:16 pm
Contact: Website

Re: Farnell prices

Thu Mar 22, 2012 12:48 pm

If you can name one single company that could sink multiple millions of dollars into producing RaspPis without expecting a decent profit out of the deal, please let us all know.

RS and Farnell have been charging schools extortionate sums since before you were born. Schools know they are being over-charged and they pay it because they get added value.

Printer manufacturers charge prices for ink that make Polaroid look hopelessly naive. And people buy printers and ink every day.

The world is not fair; anyone who tells you different is selling something.

In every deal there is an idiot. It is important to know who he is because, if you don't know, then it is you.

Caveat Emptor

There Ain't No Such Thing As A Free Lunch.

Lynbarn
Posts: 464
Joined: Wed Jan 04, 2012 11:03 pm
Contact: Website

Re: Farnell prices

Thu Mar 22, 2012 12:56 pm

The RPFs SvenP said:


It should be obvious to anybody with two brain cells to rub together that the sole reason for these two companies taking on the distribution of the low margin RasPi is that they foresee the generation of large volumes of sales of paired high margin items.

It's the classical Polaroid marketing strategy all over again.

One can but wonder what motivated the Foundation's decision maker(s) to make such a deal.


I'm not sure the Polaroid reference is entirely appropriate here - they manufactured both the camera and the film, so had the monopoly.

The RPFs motivation, quite obviously, was to bring the 'Pi to market as quickly and as universally as possible, at their planned, promised and publicised price.  Whilst peopled DO have to buy their 'Pis from either RS or Farnell, the DO NOT have to buy any of the other items, and many of us have indeed obtained up peripherals, cables etc. at very low prices.

It is perhaps unfortunate that neither of the distributers are particularly experienced at retail sales, as this is a new venture for them too, but they will learn, and things will get better, if they are given the chance. As with all (well most) things in life, "You pays your money, and you takes your choice."

hippy
Posts: 5962
Joined: Fri Sep 09, 2011 10:34 pm
Location: UK

Re: Farnell prices

Thu Mar 22, 2012 1:03 pm

SvenP said:


It should be obvious to anybody with two brain cells to rub together that the sole reason for these two companies taking on the distribution of the low margin RasPi is that they foresee the generation of large volumes of sales of paired high margin items.

It's the classical Polaroid marketing strategy all over again.

One can but wonder what motivated the Foundation's decision maker(s) to make such a deal.


It doesn't really matter what Farnell's and RS's motivations are nor how they see it benefiting themselves; the bottom line is that without such third parties the Foundation themselves would never have likely been able to meet demand, so they had little choice and had already recognised that. The Foundation secured pricing of the R-Pi board as they desired and that is the important thing.

Without knowing the actual licensing deals entered into would be difficult to find fault with the Foundation's decision and there is no evidence I've seen that the deals are detrimental in any way.

User avatar
nick.mccloud
Posts: 804
Joined: Sat Feb 04, 2012 4:18 pm

Re: Farnell prices

Thu Mar 22, 2012 1:17 pm

There are numerous items on both websites where you are paying over the odds - mostly they appear to be there because they sell small volumes to business users that just need one for tomorrow & have little time to shop around.

There are also numerous items where they sell volume and the pricing is as good as you can get - the PIC 12F675 being one example - around the same price as buying 1000 from MicroChipDirect but I only need to buy 60 at a time - great for my cashflow & production planning. I regularly buy components from Farnell at around the same price I'd normally pay but on next day delivery.

Overall, it's the world-wide distribution network and the ability to manage manufacturing that makes Farnell & RS a good tie in for RPi. Anyone bulk buying accessories at a premium from either distributor can either ask for better prices or shop around else where.

User avatar
Tass
Posts: 535
Joined: Sat Jan 21, 2012 11:15 am

Re: Farnell prices

Thu Mar 22, 2012 1:19 pm

Just to clarify: I think RS & Farnell are the right partners for the Foundation - without them people would be looking at lead-times of years not months.  My issue was with Farnell's excessive pricing and the fact that this is what all RPi customers would be offered as the "Raspberry Pi bundle".

However, following a visit from Captain Hindsight



I realise that I couldn't really expect Farnell to offered their SD cards to RPi customers at a reduced prices.  As long as this is what they normally sell the cards for and they're not profiteering in any way (I'm not suggesting they are) then this is something I'm going to have to grudgingly accept.

User avatar
grumpyoldgit
Posts: 1452
Joined: Thu Jan 05, 2012 12:20 pm

Re: Farnell prices

Thu Mar 22, 2012 1:21 pm

The prices of things such as cables and SD cards do vary wildly and this has always been the case with small electrical items. Even on the High Street there can be considerable discrepancies. You can pick up a USB cable for a Pound in Poundland but the same item in a bubblepack in Tesco will set you back about a tenner. I just cannot see the the point in this endless carping. If people come across a good deal please tell us about it but it seems pointless listing the most expensive.

User avatar
Tass
Posts: 535
Joined: Sat Jan 21, 2012 11:15 am

Re: Farnell prices

Thu Mar 22, 2012 1:23 pm

Grumpyoldgit said:


I just cannot see the the point in this endless carping. If people come across a good deal please tell us about it but it seems pointless listing the most expensive.


Fair enough – I'll go back to my cave.  Let's blame it on the lack of caffeine this morning!!

EDIT: This probably isn't really a "General Discussion" worthy topic either, is it?

mole125
Posts: 228
Joined: Tue Jan 10, 2012 2:01 pm

Re: Farnell prices

Thu Mar 22, 2012 1:56 pm

nmcc said:


There are numerous items on both websites where you are paying over the odds - mostly they appear to be there because they sell small volumes to business users


And I think this hits the reason bang on the head. Looking at farnells prices for most of these things they are the level I would expect them to be when each of the products were released a few years ago.. which is probably exactly when Farnell brought a box of the product and set the prices. They don't sell well as most business users don't need to buy them so they are probably still working the way through the first batch they brought, but even though sandisk may sell them cheaper for now the price Farnell paid for them originally doesn't change, either they accept a loss and try to match market prices, or just let the box sit on their shelf collecting dust, selling one here and there until a business customer is desperate enough/lazy enough to pay over current market price.

I wouldn't be surprised when the Pi starts shipping that the prices for these kind of items will suddenly plummet when they order loads - they aren't going to be able to add a £30 markup on the bundle options they provide so these will probably be very competitive.

hippy
Posts: 5962
Joined: Fri Sep 09, 2011 10:34 pm
Location: UK

Re: Farnell prices

Thu Mar 22, 2012 2:33 pm

mole125 said:

I wouldn't be surprised when the Pi starts shipping that the prices for these kind of items will suddenly plummet when they order loads - they aren't going to be able to add a £30 markup on the bundle options they provide so these will probably be very competitive.
I think that's likely to be the case. Consumers are used to different stores having mismatched prices and know about shopping around or choosing to pay more for the convenience or to save on shipping costs. If people are capable of ordering they probably already have the skills to judge what they are being offered and there's little anyone can do if they don't. Market forces will eventually sort things out.

Return to “General discussion”